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How can you make your small business stand out without spending a fortune on advertising? Word of mouth is one of the most powerful marketing tools available. In fact, 92% of consumers trust recommendations from people they know over any other form of advertising. When someone hears about your business from a friend or family member, they’re much more likely to trust you and give your business a shot. This often leads to loyal customers who keep coming back and talking about you to others. Word of mouth is kind to your budget because you don’t have to spend heavily on traditional advertising.
Word of mouth can really give your reputation a boost and attract new customers without breaking the bank. In fact, 74% of consumers say word of mouth is a key influencer when deciding what to buy. So why not make word of mouth a priority? It could be the best strategy your small business needs to thrive!
Make your business the talk of the town
Incorporating word of mouth into your marketing strategy can make a huge difference for your small business. Let us walk you through some practical tips and insightful stats that highlight just how impactful this approach can be.
Ask for reviews and referrals
Encourage your customers to leave reviews online or refer friends. People trust reviews almost as much as personal recommendations—50% according to a study. A good referral program can boost customer retention rates by 37%. For instance, a gym might offer a free personal training session for every referral a member brings in.
Work with influencers
Partnering with influencers can be a smart move. Influencer marketing can generate up to 11 times the ROI of traditional advertising. Micro-influencers, in particular, have loyal audiences and can help you build trust. For example, a home decor shop could team up with a popular interior designer to showcase its latest products.
Spread the word on social media
Getting active on social media is a great way to spread the word about your business and reach more potential customers. Set up pages on popular platforms like Instagram, Facebook, Twitter, and LinkedIn for your business. Focus on the channels that best connect you to your target customers. Don’t be afraid to test out paid ads or promoted posts to boost your reach even more.
Once your pages are set up, encourage your customers to like, follow, and share your content. Run contests and special promotions to engage your audience and boost sharing. When someone shares your content, it can reach their entire network, expanding your business’s visibility.
Showcase what makes you special
Let your customers know what sets your business apart. For example, your retail store has been a trusted neighbourhood fixture for decades, providing personalized service that your community loves. Or perhaps, a veteran-owned coffee shop might offer discounts to fellow veterans, building a loyal customer base. A woman-owned boutique may feature products from female artists, supporting other women in business.
Highlighting your unique selling points—whether it’s your commitment to sustainability, exclusive product lines, or personalized experiences—gives your customers more reasons to choose your business and recommend you to others.
Offer great service
Focus on exceeding expectations with your products or services. When they leave with a smile, they’re more likely to talk about you. 86% of consumers are willing to pay more for a better customer experience. For instance, a boutique owner might provide complimentary gift wrapping for purchases. Prioritize exceptional customer experiences by offering personalized recommendations or hosting VIP shopping nights.
Let your customers do the talking
Customer testimonials are a great way to show off how good your work is. When satisfied customers share their experiences, it can lead to a 34% increase in sales. Sharing video testimonials can help build trust and increase your chances of making a sale. For example, a web design agency might share videos of happy clients talking about how their new website helped their business succeed.
A staffing company can also use video testimonials effectively. They might share stories from job seekers who found great jobs with the company’s help or from employers who hired excellent candidates through the staffing service. These real-life experiences can give potential clients confidence in the staffing company’s ability to deliver outstanding results.
The impact of word of mouth
Word of mouth can lead to a chain reaction. As more people hear about your business and have positive experiences, they tell others, and your customer base grows. Happy customers tend to spend more and stay loyal to your business, which increases your revenue.
When people hear good things about your business from trusted sources, they see you as credible and trustworthy. This positive reputation can help you stand out in a crowded market. As word of mouth brings in more customers, make sure you can maintain the level of service that earned you the positive buzz in the first place. Every interaction with a customer is a chance to create a lasting impression and generate word of mouth. Keep your focus on delivering exceptional experiences, and you’ll see the impact on your business’s growth.
